Dixons slims its web business

Electricals giant Dixons has sold its Swedish online business in an effort to concentrate its web division into a more focused operation.

It has agreed to sell Webhallen to Norway's Komplett AS for £14 million (SEK140 million) and will complete the transaction next month. Dixons' main businesses are Currys and PC World but has interests in most European countries. 

Webhallen mainly sells films, games and software from 10 stores and online. It is a subsidiary of Dixons struggling subsidiary Pixmania, an online conglomerate in which it acquired a majority stake seven years ago.

Dixons: focusing on web sites in key countries

In February, Dixons said it closed all its Pixmania stores and cut its online markets from 26 to 14 as it tries to turn the unprofitable business around. It closed about 30 stores across Spain, Portugal and Belgium and 10 shops in France although it said online operations would continue in those countries. 

The 12 online markets closed included Austria, Switzerland and countries across eastern Europe. 

The plan has also involved cutting back on peripheral Pixmania interests, including the sale of baby clothes and jewellery, to concentrate on consumer electronics. The strategy included buying the remaining minority stake in the Pixmania business last year to gain full control. 

Last month Dixons sold it public sector, business-to-business reselling division Equanet to Kelway eight years after buying the firm.

Dixons chief executive Sebastian James said the disposal of Webhallen was part of the groups 'material reorganisation'.

Tags: Dixons, Currys, PC World, Pixmania, Webhallen, Equanet, Kelway, Komplett AS, consumer electronics, ecommerce, internet shopping, etail, web retailing